Pernod Ricard has agreed a deal to sell its Bisquit Cognac brand to South Africa's Distell Group for EUR31m, as part of the French group's strategy to dispose of peripheral brands.

Pernod said today (2 March) that the deal, which remains subject to regulatory approval, also includes distribution rights in France, Belgium, Switzerland and Luxembourg.

Pernod CEO Pierre Pringuet said last year that the drinks giant planned to dispose of up to EUR1bn-worth of "peripheral brands", following the firm's takeover of Sweden's Vin & Sprit.

The move gives Distell, which owns brands such as Amarula Cream and Savanna cider, a presence in Cognac for the first time. The group last month reported an 18% rise in net profit for the six months ended 31 December, to ZAR651m (US$63.5m). Net sales rose by 22% to reach RND6.1bn.